1. What does the HNDQ ETF do for investors?
The BetaShares Nasdaq 100 ETF invests in 100 of the largest non-financial companies listed on the NASDAQ stock exchange (i.e. the USA). This is the currency hedge version of the BetaShares NASDAQ 100 ETF (ASX: NDQ).
Investors could use the HNDQ ETF to get exposure to the 100 largest technology, communications, industrial and other ‘new age’ style companies listed on the NASDAQ stock exchange. An investor would choose this ETF over the NDQ ETF if they wanted a hedged exposure.
2. Funds under management (FUM)
The BetaShares HNDQ ETF had $139.51 million of money invested when we last pulled the monthly numbers. Given HNDQ’s total funds under management (FUM) figure is over $100 million, the ETF has met our minimum criteria for the total amount of money invested, otherwise known as FUM. We draw the line at $100 million for ETFs in the International shares sector because we believe that relative to smaller ETFs, achieving this amount of FUM de-risks the ETF.
3. Don’t forget about the fees & costs
BetaShares charges investors a yearly management fee of 0.51% for the HNDQ ETF. This means that if you invested $2,000 in HNDQ for a full year, you could expect to pay management fees of around $10.20.
For context, the average management fee (MER) of all ETFs covered by Best ETFs Australia on our complete list of ASX ETFs is 0.51% or around $10.20 per $2,000 invested. Keep in mind, small changes in fees can make a big difference after 10 or 20 years.
Now what?
These are just a few of the considerations or factors you would need to look at when running the rule over the HNDQ ETF. Before you go any further, take a look at our free BetaShares HNDQ report. And while you’re at it, don’t forget to search our complete list of ASX ETFs.